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YC: Requests for Startups

(www.ycombinator.com)
514 points sarimkx | 2 comments | 14 Feb 24 16:31 UTC | HN request time: 0.483s | source
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brettv2 ◴[14 Feb 24 15:54 UTC] No.39371339[source]▶
> NEW ENTERPRISE RESOURCE PLANNING SOFTWARE

Very curious if anyone knows how to pull this off. There's so much value to be unlocked but it's just impossible to break through.

I've personally met three very talented founders that tried and failed (one was accepted to YC as a mid-market ERP and successfully pivoted into an application tracking system) and failed very quickly.

I'm guessing an important feature would be an integration system that maps data from the current ERP seamlessly into the new ERP. And that assumes you can even get through the enterprise sales process to even get the company to migrate.

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RowanH ◴[14 Feb 24 21:19 UTC] No.39375543[source]▶
The problems with ERP is (1) in order to be a big player you have to cater for so many use cases it starts becoming a glorified development tool without any room for providing actual ROI to the vertical that wants to buy it. (2) it's very, very easy to fall into the trap of saying "well, process x is really no different in industry y, we can adapt the ERP system". In reality there's so many nuances that the platform becomes compromise.

Vertical specific software provides so much more value as you can build things unencumbered by the engine/data structures/way things work.

I've found our niche - ERP's would be hopelessly expensive so save for top tier OE companies no one uses it. In weeks we can develop and roll out features & functionality that our clients just lap up that you would never in a million years build into an ERP platform, but is intrinsic to the delivery of our clients products.

It was inconceivable to me 2 years ago, but now I've had very real discussions with some companies where they're looking at our software going "wow... you're going to give mid tier players better functionality that we could only dream of from our ERP systems.."

Basically ERP platforms are "jack of all trades, master of none".

In my former life we did vertical specific software for the window and door industry. Every time we heard from a prospect "oh we're looking at __some ERP platform__ to do configuration of W&D", we'd immediately list dozens of reasons why they would fail, and fail hard.. countless untold money to consulting teams has been burned learning those lessons.

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1. hawk_ ◴[14 Feb 24 22:50 UTC] No.39376682[source]▶
> In weeks we can develop and roll out features & functionality that our clients just lap up that you would never in a million years build into an ERP platform

Interesting. Just to make sure I understood this correctly, are you taking of a purpose built app/software for each such 'request' as opposed to this being some 'module'/'add-on' in an ERP suite?

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2. RowanH ◴[15 Feb 24 04:28 UTC] No.39379111[source]▶
Yeah so in an ERP platform, you (well the client) needs to pay for a feature they want to be built ontop of the platform. It may have additional tables/data structures added into the ERP system or outside of it. Sure an ERP might have say an "Field Service Module" add-on you can get. But if you're a Spa Pool shop, there might be a whole bunch of things you do spa pool specific, eg taking water chemistry measurements. With an ERP system to add say a 'chemistry tracker add-on', you're very unlikely to find one off the shelf, so you need to customise the ERP system to do it. By the end of having an ERP system that works for your Spa Pool Empire you've blown $100'000's to $millions.

The alternative is some scrappy startup does a SaaS platform for Spa Pool shops and builds the features natively. Not being hamstrung by the ERP platform, so no compromises - no UI's that look like an ugly duckling. And of course they learn every new spa pool shop that comes onboard, adapts and improves.

Eventually the SaaS software startup will become the Spa Pool system of choice, and will come up against the ERP platforms in sales pitches.

One will be ready to go for a Spa Pool shop, the other will have a team of consultants wanting to do requirements gathering....

That's the problem with ERPs, when a vertical/niche has got dedicated software, the ERPs almost always look inferior*

* Upto a certain business size/throughput/specialised requirements, then Mega Spa Pool corp is okay paying millions to have their own ERP team.